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The results of a broadband feasibility study are in for two northern Colorado towns weighing whether to establish municipally run high-speed Internet service. Though the overall recommendations are exploratory, they include hooking up the city’s main resources to fiber and adopting broadband friendly policies, with the possibility of expansion to Fiber-to-the-Premise (FTTP) services down the line.

Weighing the Options

Consultants offered a series of recommendations, all of which involve setting up legislation that incentivizes investment and reduces installation costs, such as a dig once policy, and connecting city infrastructure to fiber. The study suggested three types of actions with varying degrees of involvement from the local government:

1. The city could attempt to persuade incumbent providers to invest in faster, more reliable Internet services.

2. Enter into some sort of public-private partnership in which the cities and the private ISP partner/s co-invest in creating a fiber gig service.

3. Build a municipally run FTTP network.

With any of the options, NEO reps stressed the goal of getting everyone in the town to a gig, what NEO CEO Diane Kruse described as the “gold standard” of capacity.

The consultants affirmed that an FTTP setup would be financially feasible under the right circumstances (found on page 68 of the report) that include a threshold 30 percent take rate for Greeley and 35 percent for Windsor within three years, and at least $5 per customer utility fees. The utility fee model of funding deployment entails customers paying a monthly surcharge to go towards maintenance and construction of the network. With this model, when a higher number of subscribers connect, the fee usually decreases.

In Greeley, to get things like traffic lights, smart meters, and municipal buildings hooked in with fiber, the cost would top off at around $3.7 million, provided they utilize the nearly 18 miles of existing fiber. If the community chooses to deploy the entire network from scratch, NEO Connect estimates the project would run approximately $8 million. In Windsor, the costs would be approximately $260,000 and $1.7 million, respectively. With a 30 percent expected take rate,...

This is the transcript for episode 253 of the Community Broadband Bits Podcast. Diane Kruse of NeoConnect joins the show to discuss Colorado's community networks. Listen to this episode here.

Diane Kruse: I think it's reached this critical point where it is absolutely a necessity for municipalities to build out fiber infrastructure.

Lisa Gonzalez: This is Episode 253 of the Community Broadband Bits podcast from the Institute for Local Self-Reliance. I'm Lisa Gonzalez. This is a special twofer week. Christopher interviewed several people at the recent Broadband Community Summit in Dallas, and we want to bring you the material while it's still fresh. We'll be back to our regular schedule next week. Diane Kruse and her consulting firm, NeoConnect, work with communities that are looking for ways to improve local connectivity. In this interview, Diane offers a consultant's perspective on Colorado's restrictive SB 152 and how it has affected local community initiatives to improve broadband. She shares how her firm approaches working with communities. Each one has unique goals and considerations while making public investment. Chris and Diane discuss some of the changes they’ve seen in both private and public investment and how it's happening. Learn more about Diane's firm at NeoConnect.us. Now, here's Christopher and Diane Kruse.

Christopher Mitchell: Welcome to another edition of the Community Broadband Bits podcast, coming at you live once again -- We're live right now, but it's coming at you from the Broadband Community Summit in Dallas, Texas, 2017. With me today is the president and CEO of NeoConnect, Diane Kruse. Welcome to the show.

Diane Kruse: Thank you, Chris, it's great to be here.

Christopher Mitchell: NeoConnect, I know that your firm is located in Colorado. There's tons of things happening in Colorado, but you do things around the country.

Diane Kruse: Yeah, we are a nationwide consulting firm. We work with municipalities and local governments on broadband planning and implementation. We have projects all over the US, but you are absolutely right. There's a lot of work that’s being done just right in our back yard in Colorado.

Bonus episode! We did several interviews while at the Broadband Communities Summit and Dallas, so we are publishing two episodes this week. Diane Kruse joined us for today's discussion, episode 253, with an update about progress around community broadband in Colorado and great advice for communities considering an investment.

Diane is the CEO and President of NeoConnect, a consulting firm located in Colorado that works with communities around the country. We discuss realistic expectations for the nearly 100 communities that have voted to restore their authority to build and partner for better Internet networks.

We also discuss the range of options from doing nothing to building the full citywide fiber-optic network that Longmont is currently completing. Our interview touches on everything from incremental approaches to shadow conduit.

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